Skip to main content

Land utilisation

  LAND UTILIZATION  Land is a scarce resource, whose supply is fixed for all practical purposes. At the same time, the demand for land for various competing purposes is continuously increasing with the increase in human population and economic growth.Land use pattern at any given time is determined by several factors including size of human and livestock population, the demand pattern, the technology in use, the cultural traditions, the location and capability of land, institutional factors like ownership pattern and rights scale regulation. Major Types of Land Utilization in India : As in all other countries, land in India is put to various uses. The utilization of land depends upon physical factors like topography, soil and climate as well as upon human factors such as the density of population, duration of occupation of the area,land tenure and technical levels of the people.There are spatial and temporal difference in land utilization due to the continued interplay of phys...
Post a Comment

Public budget- objectives

PUBLIC BUDGET
Objectives
a)Economic growth : To promote rapid and balanced economic growth so as to improve living standard of the people. Economic growth implies a sustained increase in real GDP of the economy , I.e a sustained increase in volume of goods and services. 
b)Reduction of poverty and unemployment:To eradicate mass poverty and unemployment by creating employment opportunities and providing maximum social benefit to the poor. In fact , social welfare is the single most important objective. Every Indian should be able to meet his basic needs like food , clothing , housing along with health and education facilities.
c)Reduction of inequalities: To reduce inequalities of income and wealth , government can influence distribution of income through levying taxes and granting subsidies. Government levies high rate of tax on rich people reducing their disposal income and lowers the rate on lower income groups.
More emphasis is laid on equitable distribution of wealth and income. 
d) Redistribution of income :Equalities in income distribution mean allocating the income distribution in such a way that reduces more income inequalities and also there is no concentration of income among few rich. It requires that rate if increase in real income of poor sections of society. Fiscal instrument like taxation,subsidies and public expenditure can be made use of to achieve objectives.
e) Reallocation of resources : To Reallocation resources so as to achieve social and economic objectives. Again , government provides more resources into socially productive sector where private sector initiative is not forthcoming e.g public sanitation, rural electrification,education , health etc.
f) Economic stability : Government can bring economic stability I.e control fluctuations in general price level through taxes , subsidies and expenditure. When there is inflation , government can reduce its expenditure. When there is depression,government can reduce taxes and grant subsidies to encourage spending by people.
g)Financing and management of public enterprises : To finance and manage public enterprises which are of nature of national monopoles like railways , power generation and water lines etc.

Elements
The three elements of a budget are :
a)Finance plan
b)A procedure formulating authorising,executing and controlling.
c)Some government authority responsible for each successive step in this procedure.

Purpose
a)It us worthwhile exercise for putting an annual plan in action.
b)It is necessary for drawing up plans for mobilisation of revenue and executing programmes of public expenditure.
c)A budget is required for purpose of informing the legislature and people so that they can support the over all programmes for a year.
d)A significant purpose of budget us to study generation of savings , investment , consumption and capital formation in the economy. For this , economic survey is presented before budget.
e)A public budget serves to account for allocation of funds for previous year and the proposed allocation for coming year .

Impact
A budget impacts the society at three levels ,
a)It promotes aggregate fiscal discipline through controlled expenditure,given the quantum of revenues ,
b)Resources of the country are allocated on the basis of social priorities.
c)It contains effective and efficient programme for delivery of goods and services to achieve its target and goals.

Comments

Post a Comment

Popular posts from this blog

BASICS OF MACROECONOMICS

Basics of Macroeconomics   a) Capital goods : Capital goods are described as fixed assets of producers which are used in the process of production for several years. Plant, heavy equipment, machinery are examples. b) Investment : Investment is a process of capital formulation also known as the process of increase in stock of capital .             I =∆k Where I is investment and ∆k refere to the change in capital stock during the year. There are two types of investment  Fixed investment refers to increase in stock of fixed assets of producers during the period of an accounting year .Plant ,machinery are some of its examples.It is also called as fixed capital formation. Inventory investment are those stock which keeps varying . At a point of time,producers have stock of finished goods ,semi finished goods or raw material . These are called as inventory investment. Change in the stock of these are called as inventory investment of producers. c) D...
Post a Comment
Read more

Insolvency and bankruptcy code

  Insolvency and bankruptcy code (IBC) 2016 IBC 2016 is a code which is not applicable to financial institutions like banks, pension funds, mutual funds. This means if company has taken loan from a bank and is not making repayment of its debt, bank can then move to National company law tribunal under IBC 2016 to declare the company bankrupt. To deal with the bankruptcy of financial institutions, Government is planning to bring " Financial Resolution and Deposit Insurance " (FRDI) bill. It is a system to deal with financial firms insolvency while at same time providing highest level of safety to the depositors .  This law is in dicussion since last 4 to 5 years, but still not passed by the parliament due to "Bail - in "clause. It states that in case there is bankruptcy or insolvency in bank, then depositors will have to give up some parts of their deposit to protect the bank. There is disagreement on this clause.  To conclude, The FRDI bill, 2017 was mea...
Post a Comment
Read more

SAARC

SOUTH ASIAN ASSOCIATION FOR REGIONAL COOPERATION (SAARC) Introduction    The South Asian association for regional cooperation comprises of Afghanistan, Bangladesh, Bhutan, Indian, Maldives, Nepal, Pakistan and Sri Lanka. The foreign ministers of these countries, at their first meeting in New Delhi in August 1983,adopted the declaration on SAARC and formally launched its Integrated Programme of Action IPA. SAARC has also nine observers - Australia, China, EU , Iran, Japan, Republic of Korea, Mauritius, Myanmar and USA. Meaning  The aim of the organisation is to accelerate the process of economic and social development in Member states joint action in agreed areas of cooperation. Observers are not allowed to be part of deliberations and their participation is limited to the inangural and closing sessions of the summit. Objectives   a)To promote the welfare of the people of South Asia and to improve their quality of life. b)To accelerate economic growth, social progess ...
Post a Comment
Read more